NPCI To Allow Cash Deposit at Any ATM Soon!

The new year is beginning to shower good news for the people. In a latest one, customers of a bank will soon be able to deposit cash at any bank branch or the ATM. The proposal has been sent by none other than National Payment Corporation of India (NPCI).

The corporation has earlier made the payments interoperable between banks with its Unified Payments Interface (UPI). Now, it is looking forward to begin an interoperable cash-deposit system as well.

According to Economic Times, the step will be enabled through National Financial Switch (NFS), initially developed by Institute for Development & Research in Banking Technology (IDBRT). The NFS already has 37 members and over 50,000 ATMs in its network.

The Benefits

After this step, people will be able to deposit cash at any bank’s ATM that has deposit facilities, i.e., cash-deposit machines or cash recyclers. In simple words, a person with a bank account in State Bank of India (SBI) will be able to deposit cash at the ATMs of any bank like Punjab National Bank (PNB), having the cash deposit machines.

Once the process begins, it will offer various benefits to the customers. Some of them are as follows:

  • Cash deposit facility will be open for 24*7 giving the service removing the time barrier.
  • Real-time credit benefits will be offered to the beneficiary.
  • Paperless Transaction.
  • Notes can be instantly verified by the cash deposit money.

Not just the customers but companies will also get benefits from this step. As the currencies will get deposited, they can also be “recycled” through the withdrawals; thus, reducing the costs to replenish cash at ATMs.

As far as the charges for this process are concerned, they are also fixed. The reports say that Rs 25 will be charged for deposits below Rs 10,000. For cash deposits above Rs 10,000, Rs 50 will be charged for the process.

Currently, around 14 banks offer this service across the nation. These include Union Bank, Andhra Bank and Canara Bank. As per NPCI, more than 30,000 ATMs may get the Interoperable Cash Deposit network without any major hardware upgrades.